- French revenue-based financing startup Silvr has raised $149 million in debt and equity.
- Silvr offers loans based on a startup’s predicted future income by evaluating its past performance.
- Check out the 12-slide pitch deck it used to raise the fresh funds below.
A revenue-based financing startup that offers an alternative to venture-capital investment has raised $149 million through a mix of debt and equity.
French-based Silvr issues loans to startups based on their predicted revenue, enabling them to spend their cash upfront on growth. The company says it can deliver funds within 24 hours through a platform that evaluates risk based on a host of different data points.
Silvr uses a credit-scoring model that looks at a company’s past performance to predict its future revenues. The startup uses data from “tamperproof” data sources such as Google Analytics, Shopify, and Stripe.
“Companies in Europe have tremendous potential but don’t have the ability to realize this with the funding options available to them,” Nima Karimi, Silvr’s CEO and co-founder, told Insider in an interview.
“We connect to a company’s bank accounts, assess both their business and financials, then combine these data sources to provide a score and then a price in an automated way,” he said.
Revenue-based financing (RBF) has boomed in Europe in recent years with a variety of different options now available from startups like Wayflyer, Uncapped, Clearbank, Karmen, and Capchase.
Though each company’s offerings differ, the general principle is the same: Rather than take expensive equity and give away part of your business, RBF provides funding at a generally lower cost and is non-dilutive.
The Series A round was led by XAnge, Otium, Bpifrance, Eurazeo, ISAI, and angel investors including the founders of French startups Qonto, Luko, and Libeo. Silvr’s funding is comprised of $128 million in debt funding and $21 million of equity.
Funding will go towards recruiting around 100 new staff members in 2022 and expanding to new European locations.
Check out Silvr’s pitch deck below:
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